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Jeez, this is not that confusing. They are Kato-made S-2's. They are not DCC-Ready.-Mark
It also underscores the problem of trying to find the answer to this question via a "simple" Google search which lead me to this website. That implies, the engine can be converted, but a new weight must be purchased on the tender.http://www.trainweb.org/nrmrc/dcc/plugnplay.html
I've got three Arnold S-2 switchers (I realize that's not the topic ) that I'm decodering for a guy. He's got them all dolled up with NWS wheel sets, and other than a little Alco growl, they run great. I may have to break down and get a couple of them with all the switching duties I've got on the layout.Lee